India’s Group II base oils imports rose to the second-highest level in more than three years in April as a surge in shipments from Asia outweighed a slowdown in flows from the US and Middle East.The wave of shipments from Asia highlighted the region’s plentiful availability at a time when China’s demand for overseas supplies of Group II base oils continued to dwindle.The shipments from Asia faced the prospect of more competition in the short-term amid signs of more regular flows from Saudi Arabia to India.India’s Group II supply was likely to get a further boost from the expected arrival in May of several arbitrage shipments of Group II base oils from the US.Shipments from Asia faced additional competition in the longer term as new premium-grade base oils production capacity starts to come online in India from the start of the third quarter of the year.India’s total Group II base oils imports of more than 110,000 tonnes in April rose from close to 95,000 tonnes the previous month, provisional customs data showed.Imports of heavy grades rose to the highest in more than three years and accounted for more than half the total.Imports of light grades rose to the highest since second-half 2022.Shipments from Asia accounted for some 93% of India's total Group II imports in April. The share was up from around 80% of the total in 2023.Asia’s share of supplies rose on the back of a surge in shipments from Singapore and South Korea, especially of heavy grades.Imports of Group II base oils from Saudi Arabia edged up in April but remained lower than typical levels in 2023.Imports of Group II base oils from the US fell in April to a thirteen-month low..India’s April base oils imports rise.India’s April lube demand mixed
